Albert M. Greenfield & Co. v. Alderman

52 Pa. D. & C.4th 96, 2001 Pa. Dist. & Cnty. Dec. LEXIS 429
CourtPennsylvania Court of Common Pleas, Philadelphia County
DecidedMay 14, 2001
Docketno.1555
StatusPublished

This text of 52 Pa. D. & C.4th 96 (Albert M. Greenfield & Co. v. Alderman) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Philadelphia County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Albert M. Greenfield & Co. v. Alderman, 52 Pa. D. & C.4th 96, 2001 Pa. Dist. & Cnty. Dec. LEXIS 429 (Pa. Super. Ct. 2001).

Opinion

HERRON, J.,

Defendants, Mark L. Alderman, Esquire, Robert C. Jacobs, Esquire, and Wolf, Block, Shorr & Solis-Cohen, LLP, have filed a motion to disqualify Michael S. Silberman, Esquire and his law firm, Silberman & DiFilippo PC., as counsel for plaintiff, Albert M. Greenfield & Co. Inc. This motion is the latest maneuver in the underlying and complicated litigation, involving allegations of legal malpractice lodged against defendants on account of the unsuccessful purchase and development by plaintiff of three real estate properties from third-party owners. These properties are the Federation Building, the Packard Building and the 1600 Arch Street Building. The present motion concerns 1600 Arch Street and separate lawsuit(s) involving this property, as well as the ultimate settlement reached in those suit(s).

Since it does not appear at this time that Silberman’s representation of Greenfield gives rise to such a direct conflict of interest so as to negate Greenfield’s choice of counsel, and since Silberman may represent Greenfield in pre-trial matters, the court is denying the motion.

[98]*98BACKGROUND

This memorandum opinion will focus only on those facts concerning the transaction involving 1600 Arch Street, which are at issue in the present motion.1

In 1997, Greenfield was the exclusive commercial leasing representative for Quinnco 1600 Arch Street, LLC, who was the owner of the building located at 1600 Arch Street.2 Quinnco had been a client of Wolf Block on various legal matters.3 SunAmerica Housing Fund, 431, a Nevada Limited Partnership and affiliate of SunAmerica Affordable Housing Partners allegedly held at least a 50 percent partnership interest in Quinnco.4

Initially, Wolf Block had represented Quinnco before Wolf Block became interested in leasing office space in 1600 Arch Street.5 In pursuit of this interest, by letter dated April 3, 1997, Jeffrey B. Rotwitt, Esq. of Obermeyer, Redmann, Maxwell & Hippell, acting as Wolf Block’s exclusive tenant representative, wrote to Greenfield, in its capacity as Quinnco’s leasing representative, and requested a proposal “to lease space” in 1600 Arch Street on behalf of Wolf Block.6 On account of the apparent conflict resulting from Wolf Block’s representation of Quinnco, Quinnco retained Blank Rome Comisky & McCauley, LLP for the limited pur[99]*99pose of representing Quinnco in the lease negotiations.7 In October, 1997, Quinnco and Wolf Block purportedly reached a binding letter of intent for Wolf Block to lease office space in 1600 Arch Street (the lease deal).8 The lease deal broke down because of Quinnco’s purported breach.9 As a result, Greenfield and Wolf Block initiated separate lawsuits against Quinnco, both of which eventually settled.10 Specifically, Greenfield sought payment of the leasing commission of more that $1,200,000, which it allegedly earned from the lease deal and Greenfield also filed a broker’s lien against Quinnco in this amount.11 Wolf Block, in its lawsuit against Quinnco, sought compensatory damages, costs, attorneys’ fees and other relief.12

Wolf Block’s case against Quinnco settled first and Wolf Block received $250,000.13 However, Greenfield’s suit against Quinnco continued. Plaintiff’s counsel here, Silberman was also Greenfield’s attorney in the Greenfield/Quinnco litigation, wherein Greenfield sought payment of the leasing commission.14 F. Warren [100]*100Jacoby, Esq. of Cozen & O’Connor represented Quinnco in that litigation.15 On June 17, 1999, a settlement discussion allegedly occurred between Michael F. R Maloney, the representative of Quinnco’s general partner, and Albert M. Greenfield III of Greenfield, wherein Maloney purportedly stated that the Greenfield/ Quinnco litigation might be settled if Greenfield made an offer to buy the 1600 Arch Street Building for $8,500,000.16

Between June 17, 1999 and July 22, 1999, Mr. Greenfield and Jacobs of Wolf Block had a series of telephone discussions and meetings to determine the economic feasibility of buying the 1600 Arch Street Building from Quinnco for $8,500,000 and, thereafter, convert it from an office building into apartments using historic tax credits.17 Plaintiff alleges that such a conversion of 1600 Arch Street would be modeled after the “Pennsylvania House Project” in which Wolf Block had represented Greenfield in connection with the conversion from an office building into apartments of the former “Pennsylvania Building” located at 1500 Chestnut Street, Philadelphia Pennsylvania, known as “The Pennsylvania House.”18 Then, on July 22, 1999, Mr. Greenfield sent a letter to Maloney, extending its offer to buy the 1600 Arch Street Building for $8,500,000.19 Jacobs of Wolf Block allegedly helped Greenfield prepare this letter, but defendants deny this allegation.20 [101]*101On September 2, 1999, Mr. Greenfield sent a letter to Michael L. Fowler, president of SunAmerica, which referred to its offer to buy the 1600 Arch Street Building, along with copies to Dan Keating of Keating Builder Corp. and copies to Alderman and Jacobs of Wolf Block.21 This letter was sent allegedly at the behest of Jacobs during a telephone conversation with Mr. Greenfield, wherein Jacobs allegedly indicated that Alderman wanted Greenfield to send this letter and purportedly explained that it should also be sent to Keating.22 Keating, is an existing client of Wolf Block, who is the “contractor” on the conversion of the 1600 Arch Street Building and is or was in the process of becoming an equity participant in the 1600 Arch Street Building along with Quinnco.23 Jacobs allegedly told Mr. Greenfield that Keating was anxious to “get going” with the conversion; that Keating could help mediate a settlement of the Greenfield/Quinnco litigation; and that he would be willing to be Greenfield’s “contractor” for the building if Greenfield was successful in buying it from Quinnco.24 Defendants deny that Jacobs made any such statements to Mr. Greenfield.25

Thereafter, on October 13, 1999, Jacobs did telephone Mr. Greenfield and stated that Alderman wanted to arrange a meeting to be held on October 14, 1999 at Wolf Block’s offices among Mr. Greenfield, Alderman, Jacobs and Keating with the purported purpose of mediating a settlement of the Greenfield/Quinnco litiga[102]*102tion.26 On that same date, Mr. Greenfield wrote Keating, and included a copy of a letter to F. Warren Jacoby from Silberman, relating to a proposed settlement of the Greenfield/Quinnco litigation.27 Greenfield also wrote to Michael F. Fowler of SunAmerica and indicated that “this litigation ought to be settled in the manner set forth in my lawyer’s [Silberman’s] letter or, alternatively, I am willing to settle by purchasing the building for $8,000,000.”28

The October 14,1999 meeting did take place and was attended by Mr.

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Bluebook (online)
52 Pa. D. & C.4th 96, 2001 Pa. Dist. & Cnty. Dec. LEXIS 429, Counsel Stack Legal Research, https://law.counselstack.com/opinion/albert-m-greenfield-co-v-alderman-pactcomplphilad-2001.